Awqaf Zakah Investment Fund (AZIF)
Definition of "Awqaf Zakah Investment Fund (AZIF)"
A proposed financial institution to be registered as a waqf but operating as a profit-seeking corporate venture. The institution would channelize zakah into long-term investments. The zakah-collecting agencies will purchase shares in the AZIF. These shares will be negotiable and transferable. The zakah-collecting agencies will distribute AZIF shares among beneficiaries of zakah. The AZIF shareholders will be able to buy everyday needs from appointed stores against these shares. There will be a secondary market for these shares, if the shareholders want to liquidate them. The government guarantees the face value against any possible losses in investment. The AZIF will invest the funds into long-term investments and the holders of its shares will get a part of the profit or loss.